Mt Gox is returning $1 Billion in bitcoins to its creditors. What could happen?

Snaic

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Quote from: iram3130 on September 18, 2018, 05:34:56 AM

First of all, these are the early adopters we are talking about. I dont think they are panic sellers or dont know the value of cryptocurrencies. So my opinion would be more than 95% of these people will hold to the bitcoins they are going to get from MtGox

I also have the same opinion. Moreover, even at today's prices of bitcoin, since 2014 bitcoin has risen in price very much and for holders of that time it will be a significant profit. I think that they will continue to keep their bitcoins returned to them, especially since many of them should understand that at the end of the year bitcoin should rise well in price. However, by this time many people can already change their financial situation and they may need money. This part can cash the returned bitcoins.

bartolo

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In theory, nothing particularly relevant should happen. The trustee himself has explained that he doesn't sell the bitcoins in exchanges, it's understood that he sells them OTC. https://news.bitcoin.com/the-mt-gox-whale-explains-his-crypto-selling-strategy/ However, there are always people who make a lot of noise when bitcoins are moved from the trustee address and that noise can actually cause a dump. The problem is that noise. If the bitcoins were sold on exchanges or if the trustee returned the bitcoins directly to those affected and they sold them the next day, then, a price drop would be logical, but selling them OTC, nothing should happen.

dothebeats

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Cashback 15%

Back in February when the news first surfaced, the Mt. Gox trustee admitted that he dumped several thousand bitcoins on December which contributed to the fall of bitcoin's price from its ATH down to $10k, and now this? The string of 'news' appearing lately that is related to the Gox fiasco is somehow getting inconsistent with new reports almost every day. If they still want to return the money to their creditors, they should have already without making a big fuss about it. It seems that the same guys behind the Gox event want to recreate a new business and this reimbursement thing is their method of getting some sort of publicity.

BitcoinHodler

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HODLing is an art, not just a word...

well so far what the "news" has told us is that Mt Gox dumped their coins a couple of months ago to get fiat to pay the people who they had to pay. and even if they are paying them now they are paying them in fiat that they gained by selling their bitcoins back then.

so you ask what could happen? maybe bitcoin price is going to rise up ans people receiving fiat is now going to buy back bitcoin that they lost.

DarkBullet

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It is somehow unclear to me and that statement smells mind twisting depending on how you understand the article. So, "One billion worth of CRYPTOCURRENCIES" will be distributed to Mt. Gox investors so meaning to say, those billion worth is a CRYPTOCURRENCIES and not all of those are in BITCOIN. For me, if it will be misunderstand then we can expect a downfall for Bitcoin and the altcoins will follow. Still, one thing is for sure, a massive sell off will be made and red market is inevitable.

Red-Apple

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that link is mostly created to click bait and also it is mainly talking about the altcoin dump that has been going on in the past 2 days with ETH being in the front of them all with a whopping 10% drop as it now goes down to $190 and is falling fast.

regarding Mt Gox, it is now old news. it doesn't really matter what kind of news they come up with regarding them and the coins related to them, it won't have any more effects on bitcoin price. we are at the bottom @$6k and won't go any lower.

iram3130

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ITSMYNE 🚀 Talk NFTs, Trade NFTs 🚀

First of all, these are the early adopters we are talking about. I dont think they are panic sellers or dont know the value of cryptocurrencies. So my opinion would be more than 95% of these people will hold to the bitcoins they are going to get from MtGox

kzozenberg

jr. member

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I am very happy for these guys, they are every day for many years trying to get their bitcoins back ! But in the end it happened ! I think it's not a big amount for bitcoin and nothing will happen to it ! Also I think they will not sell bitcoin when it is in a low position ! This time the guys will take seriously the problem of fraud on the part of the exchange and will store them in a cold wallet !

neatworld

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I've read about this in a couple of places now. Mt Gox is supposed to be making its payments in the coming weeks to its creditors.

"Mt.Gox, the bankrupt Bitcoin exchange that collapsed in 2014, is soon expected to distribute $1 billion worth of cryptocurrencies to thousands of its creditors. As it has been a long wait, some might offload their bitcoins as soon as they receive them. Can this produce the next leg of the downward move?"
https://cointelegraph.com/news/bitcoin-ethereum-ripple-bitcoin-cash-eos-stellar-litecoin-cardano-monero-iota-price-analysis-september-17

"Bitcoin investors could face a fresh round of intense selling pressure as a collapsed Japanese cryptocurrency exchange is forced to payout $1bn worth of digital coins, experts have warned.
The digital currency, which has already plunged in value from $17,035 in January $6449 yesterday, is set to slide further in the coming weeks as Mt.Gox, a bankrupt Bitcoin exchange, pays out thousands of coins to creditors."
https://www.telegraph.co.uk/technology/2018/09/16/bitcoin-pressure-collapsed-cryptoexchange-unwinds-1bn-digital/ (Subscription required to read full article)

The market is already so tenuous - how much of an impact do you think this will have?

Topic: Mt Gox is returning $1 Billion in bitcoins to its creditors. What could happen? (Read 122 times)